KeyBank Health Savings Account

Key@Work?

KeyBank Health Savings Account

The flexible way to manage your healthcare costs.

A Health Savings Account (HSA) allows you and/or your employer to make deposits into an HSA Checking Account1 with a tiered interest-rate structure on a tax-advantaged basis. Once the money is deposited into the account, you can then make tax-free withdrawals to pay for qualified medical expenses. Any unused funds are carried over year after year, with no "use-it-or-lose-it" rules.

Are you eligible to enroll? A KeyBank HSA works with a High Deductible Health Plan (HDHP). To be eligible to open an HSA, you must:

? Be enrolled in an HDHP ? Not be covered by another healthcare insurance plan, except what is

permitted (see IRS Publication 969 for more information) ? Not be covered by Medicare ? Not be a dependent on someone else's tax return

How the KeyBank HSA works. Your KeyBank HSA lets you monitor your account's activity, contributions, and expenses. You simply withdraw funds as needed for qualified medical expenses by using your KeyBank checks, debit card, or Bill Pay. These expenses include doctors' services, prescription drugs, eyeglasses, contact lenses, X-rays, and physical therapy.2 (Be sure to keep your receipts for IRS reporting purposes.)

If you withdraw funds from your HSA for purchases other than qualified medical expenses and you're under the age of 65, you will be subject to income tax and a 20% penalty. Account holders over age 65 may withdraw funds tax-free if they are used for health care expenses and are only subject to income tax if the funds are used for any other reason. The 20% penalty does not apply to account holders age 65 or older.

Continued on reverse.

Advantages:

The time to reduce your healthcare costs is now. If you are already a KeyBank customer, certain fees may be waived. Ask a KeyBank Relationship Manager.

Go to hsa ? Call 207-262-5712

For customers using a TDD/TTY device (to provide service to our hearing-impaired clients), please use 1-800-539-8336.

See reverse for important terms and disclosure information.

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Key@Work?

KeyBank Health Savings Account

The flexible way to manage your healthcare costs.

Your employer can make contributions to your KeyBank HSA. Aside from your contributions, your employer may choose to contribute to your KeyBank HSA. When you and your employer make contributions, those combined contributions may add up to the amount of--but cannot exceed--the maximum combined amount of $3,550 for individual coverage and $7,100 for family coverage in 2020. For 2021 it is $3,600 for individuals and $7,200 for families. These 2020 and 2021 limits are subject to annual cost-of-living increases.

The benefits of a KeyBank HSA are clear. ? A KeyBank HSA can be used in conjunction with any HSA qualified High-Deductible Health Plan,

providing you with a local HSA option. ? KeyBank HSAs are easy to open: Online 24/7 at HSA, or in person at your local KeyBank

branch. No minimum deposit required. ? You get unlimited access to your KeyBank HSA funds with our special HSA checks or debit card. An

initial set of HSA checks and additional debit cards are available upon request, at no additional charge. ? Tax-advantaged dollars grow while in your account and earn interest that is also tax-advantaged. ? You have the potential to add an investment component to your KeyBank HSA by opening a Key

Investment Services3 HSA Investment Account, which can help maximize your tax-advantaged earnings. ? You can easily manage and track expenses with Bill Pay and monitor your account activity through

Online Banking. ? Serviced locally, you get convenient access to your KeyBank HSA at any local KeyBank branch or ATM,

or by contacting our HSA call center at 1-888-539-2020. For customers using a TDD/TTY device (to provide service to our hearing impaired clients), please use 1-800-539-8336.

1H SA Checking Account is provided by KeyBank National Association (KeyBank), Member FDIC. 2S ee IRS Publication 502 for more information. 3I nvestment products are offered through Key Investment Services LLC (KIS), member FINRA/SIPC. KIS is affiliated with KeyBank National Association (KeyBank).

Investment products made available through KIS are:

NOT FDIC INSURED ? NOT BANK GUARANTEED ? MAY LOSE VALUE ? NOT A DEPOSIT ? NOT INSURED BY ANY FEDERAL OR STATE GOVERNMENT AGENCY

KIS and KeyBank are separate entities, and when you buy or sell securities you are doing business with KIS, and not KeyBank. Information not intended as individual legal or tax advice. is a federally registered service mark of KeyCorp. ?2020 KeyCorp. KeyBank is Member FDIC. 200904-868817.05

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